Miller wary BP criminal settlement

Published: Friday, November 16, 2012 at 06:55 PM.

While many were cheering the government’s settlement of criminal charges against BP, U.S. Rep. Jeff Miller sounded a word of warning.

“I wish the Justice Department hadn’t given up its leverage with BP on the civil side to settle the criminal side,” he said.

Under a deal announced Thursday, BP will pay $4.5 billion in fines and penalties over five years. The penalties include more than $1.25 billion in criminal fines, the New York Times reported. Another $2.39 billion will go to the National Fish and Wildlife Foundation for remediation efforts, and $350 million more will be paid to the National Academy of Sciences, according to the Times.

But without the criminal charges to fall back on, Miller fears BP won’t be as inclined to negotiate in good faith to settle civil claims.

The civil claims dollars are the ones that, under the RESTORE Act, will funnel down to the Gulf Coast and Northwest Florida.

The fines being negotiated under terms of the Clean Water Act will range from $1,100 to more than $4,300 per barrel. BP’s total fine could be anywhere from $5 billion to $21 billion.

Miller said concerns remain that the Department of Justice will “put more weight” on BP paying fines under the National Resources Damages Act than the Clean Water Act.

“The Clean Water Act is the vehicle with which the RESTORE Act was structured,” Miller said. “And NRDA is a device with which the administration can retain ownership of the fine monies at the federal level.”

Miller said there is a very good chance the region would lose money set aside for it under the RESTORE Act if the Justice Department puts more emphasis on having fines paid under NRDA.

While many were cheering the government’s settlement of criminal charges against BP, U.S. Rep. Jeff Miller sounded a word of warning.

“I wish the Justice Department hadn’t given up its leverage with BP on the civil side to settle the criminal side,” he said.

Under a deal announced Thursday, BP will pay $4.5 billion in fines and penalties over five years. The penalties include more than $1.25 billion in criminal fines, the New York Times reported. Another $2.39 billion will go to the National Fish and Wildlife Foundation for remediation efforts, and $350 million more will be paid to the National Academy of Sciences, according to the Times.

But without the criminal charges to fall back on, Miller fears BP won’t be as inclined to negotiate in good faith to settle civil claims.

The civil claims dollars are the ones that, under the RESTORE Act, will funnel down to the Gulf Coast and Northwest Florida.

The fines being negotiated under terms of the Clean Water Act will range from $1,100 to more than $4,300 per barrel. BP’s total fine could be anywhere from $5 billion to $21 billion.

Miller said concerns remain that the Department of Justice will “put more weight” on BP paying fines under the National Resources Damages Act than the Clean Water Act.

“The Clean Water Act is the vehicle with which the RESTORE Act was structured,” Miller said. “And NRDA is a device with which the administration can retain ownership of the fine monies at the federal level.”

Miller said there is a very good chance the region would lose money set aside for it under the RESTORE Act if the Justice Department puts more emphasis on having fines paid under NRDA.